Algebra with Finance SEM 1 Exam REVIEW

Front

Write 8.25% as a decimal.

Back

0.0825

Front

What is the current balance of Vance's checking account if the starting balance is $697.96, he received $962.88, was charged $25.00, made a purchase of $83.12, wrote a check for $138.83, and deposited a check for $71.17?

Back

$1485.06

Front

Calculate the interest earned on a principal of $500 at an interest rate of 5% over 5 years.

Back

$125

Front

What four programs are included in the Social Security bill according to FDR?

Back

Unemployment compensation, old-age pensions, increased services for children, prevention of ill health

Front

If Jenna borrowed $5,000 for 3 years and paid $1,350 in simple interest, what was the rate of interest?

Back

9%

Front

Define simple interest.

Back

Simple interest is calculated using the formula: I = PRT, where I is the interest, P is the principal, R is the rate, and T is the time.

Front

What is the formula for calculating the total balance in a checking account?

Back

Total Balance = Starting Balance + Deposits - Withdrawals - Fees

Front

Convert 5% to a decimal.

Back

0.05

Front

What is the principal in a loan?

Back

The principal is the original sum of money borrowed or invested, excluding any interest or dividends.

Front

How do you calculate the interest earned on a loan?

Back

Interest Earned = Principal x Rate x Time